2. Evaluating Data Reliability Validity –bias

3. Reliability Consistency of Measurement –Changes in Definition –Changes in Record keeping –Changes in public understanding Sampling Error –Other Sampling issues

4. Measurement Validity Does it measure what it is supposed to? Bias: under- or over- measure for particular groups EXAMPLE: SAT tests, poverty measures,

9. 1. After each state’s scores for each category were standardized (by dividing the observed value for each state by the highest value for all states, to create a score ranging from zero to one), they were weighted according to the relative degree of influence and importance of the position. State representatives were given a weight of 1.0; state senators, 1.25; statewide executive elected officials (except governors), 1.5; governors, 1.75. The resulting scores were added to create a total score for each state. Scores on the composite index were then used to rank the states for women’s representation in elected office.

10. POVERTY MEASURES FDR: "one-third of a nation ill-housed, ill- clad, ill-nourished" US Poverty Rate: absolute standard Ireland, Smeeding “relative poverty rate” Canada: Low-income limit, based on disposable income World Bank: Consumption levels below $1 or $2 per day.

11. Absolute Poverty Standard: World Bank

17. What is Poverty? In 1963-1964, Molly Orshansky based poverty thresholds on the "thrifty food plan,“ Thrifty food budget (family of 4) = $1,033 Families spent 1/3 of their budget on food. 1963 Poverty level = $3,100 Subsequent years, adjusted for CPI inflation index

18. Poverty thresholds

19. Problems with definition of Poverty Wealth and debt not counted Unusual family expenditures not counted. Regional living costs Families now spend only 1/6 th income on food MEASURING INCOME……….

20. Measuring Income money income before taxes, including wages, salaries, interest, dividends, self- employment income, welfare payments (TANF), unemployment insurance, and social security payments. Poverty Report from March Current Population Survey, 50,000 householdsPoverty Report

21. Problems with the Definition of Family Income Income not counted: Food Stamps, Medicaid & Medicare, Public Housing Persons not counted: the institutionalized, Army barracks, unrelated individuals under 15

22. Problems defining “Family” Must be related Family defined in March, BUT Income, in previous year Unrelated children individual counted as neither poor nor non- poor.

23. Overcounting the poor? Inflation adjustment overestimates inflation. Food stamps not counted as income. Other in-kind benefits (which have increased overtime) not counted. (Housing, Medical). Earned Income Tax Credit Under reporting of income.

24. Undercounting the Poor? Food now takes 1/6 of typical budget. High regional living costs Unusual family living costs Increased FICA taxes Sample under-represents poor